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Industry Specific-Maritime Laws Central Ministry of Ports, Shipping and Waterways Seamen's Provident Fund Act, 1966

Deposit of provident fund (PF) of seafarers by the owners of vessels

01-Dec-2022 | Ref. No. 137/III/194/2022

Office of Seamens Provident Fund Commissioner (SPFO) has directed the owner of vessels to ensure that the Provident Fund Contributions of the seafarers engaged on their vessels get deposited in the SPFO as per the SPF Act and Scheme, 1966, failing which they will be held responsible for not depositing Provident Fund contributions of seafarers with SPFO. This direction has been issued in light of non-payment of PF contribution to seafarers by owners due to lack of record keeping. It was observed that SPFO was issuing NOC in case owners of vessels sold their vessel, changed ownership or de-registered their vessels. However, owners of such vessels kept changing Registration and Placement Service Licenses (RPSL) agent frequently and while selling the vessels were not aware of RPSL who had not deposited PF of the seafarers. It also led to instances where Shipping companies purchasing the vessels complained that after they paid the amount in full while purchasing the vessel, owners provided them details of RPSLs who had deposited the PF. In order to prevent such owners from taking the shelter from the fact that they do not have old records of seafarers engaged by them and to be absolved from their liability from payment of PF contribution to the Seafarers, the subject direction was issued.

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